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Dec 29, 2022

Floor & Decor Q4 2022 Earnings Report

Reported better-than-expected fiscal 2022 fourth-quarter earnings, marking 14 consecutive years of comparable store sales growth.

Key Takeaways

Floor & Decor Holdings, Inc. reported a strong fourth quarter in fiscal 2022, with net sales increasing by 14.6% to $1,048.1 million and comparable store sales growing by 2.5%. Diluted earnings per share increased by 39.1% to $0.64, and the company opened 13 new warehouse-format stores, achieving its goal of opening 32 warehouses in fiscal 2022.

Net sales increased 14.6% to $1,048.1 million compared to Q4 2021.

Comparable store sales increased 2.5% from the fourth quarter of fiscal 2021.

Diluted earnings per share increased 39.1% to $0.64.

Opened 13 new warehouse-format stores during the fourth quarter, ending with 191 warehouse stores and six design studios.

Total Revenue
$1.05B
Previous year: $914M
+14.6%
EPS
$0.64
Previous year: $0.44
+45.5%
Comparable Store Sales Growth
2.5%
Previous year: 14%
-82.1%
Warehouse Format Stores
191
Previous year: 160
+19.4%
Gross Profit
$436M
Previous year: $355M
+22.9%
Cash and Equivalents
$9.79M
Previous year: $139M
-93.0%
Total Assets
$4.35B
Previous year: $3.73B
+16.6%

Floor & Decor

Floor & Decor

Forward Guidance

The company provided fiscal 2023 guidance, including net sales of approximately $4,610 million to $4,750 million, comparable store sales of approximately (3.0)% to flat, and diluted EPS to be in the range of $2.55 to $2.85.

Positive Outlook

  • Net sales of approximately $4,610 million to $4,750 million
  • Comparable store sales of approximately (3.0)% to flat
  • Diluted EPS to be in the range of $2.55 to $2.85
  • Adjusted EBITDA in the range of $605 million to $650 million
  • Open 32 to 35 new warehouse-format stores

Challenges Ahead

  • Comparable store sales of approximately (3.0)% to flat
  • Diluted EPS to be in the range of $2.55 to $2.85
  • Depreciation and amortization expense of approximately $190 million
  • Interest expense, net of approximately $17 million to $18 million
  • Tax rate of approximately 24%, excluding tax benefits resulting from stock option exercises and the vesting of restricted stock and restricted stock units